Cotton yarn market sentiment improved in South India as rising cotton prices supported trading activity. Mumbai recorded an increase in cotton yarn prices, while Tiruppur remained stable after gains in the previous week. Meanwhile, stronger mill demand and firm international cotton futures pushed cotton prices higher in Gujarat.

In Mumbai, buyers increased purchases to replenish their declining yarn stocks. The recent rise in cotton fibre prices also encouraged yarn sellers to raise their offers. However, market participants reported that actual consumption from downstream industries remained largely unchanged.

Tiruppur’s cotton yarn market held steady after last week’s price increases. Buyers and sellers continued to assess the impact of higher raw material costs on demand and trading activity.

In Gujarat, cotton prices strengthened further despite rising arrivals of new-season cotton. Sustained purchases by textile mills and stronger ICE cotton futures supported the market. Mills also sought fresh cotton supplies to blend with lower-quality stocks from the previous season.

The latest developments indicate improving market sentiment across parts of India’s cotton value chain. However, the recovery remains uneven. Higher fibre costs are supporting yarn prices, but limited improvement in downstream consumption could restrict further gains.

Market participants will continue to monitor cotton arrivals, mill procurement, international futures and textile demand to assess the direction of cotton yarn prices in the coming weeks.